Reuters Market Eye - The BSE Sensex is down 0.05 percent while the broader Nifty is down 0.1 percent on caution ahead of the Reserve Bank of India's quarterly monetary policy review at 1100 IST.
Banking stocks fall as the central bank is expected to raise its lending rate by a quarter percentage point for a second straight month to combat inflation despite the country's sputtering economic growth.
State Bank of India Ltd is down 0.8 percent while ICICI Bank Ltd falls 0.6 percent.
ITC Ltd falls 0.3 percent, adding to Monday's 3.6 slump after its quarterly results on Friday.
However, Maruti Suzuki India Ltd gains 5 percent after India's biggest carmaker reported July-September net profit tripled from a year earlier, beating estimates.
(Reporting by Abhishek Vishnoi)